Jasch Industries Limited

Consumer Cyclical — Textile Manufacturing · BSE

₹285.30+₹6.25 (+2.24%)

DalalBaazaar Score

53 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Moderate

Driven by negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

The 60-second version of Jasch Industries Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Jasch Industries Limited engages in the manufacture and sale of coated textiles and synthetic leathers in India, North America, South Africa, and Europe.

IndustryTextile Manufacturing

SectorConsumer Cyclical

Employees228

Annual revenue₹229 Cr

How does it make money?

Turns over ₹229 Cr a year. Of every ₹100 of sales, about ₹6 reaches shareholders as profit, with ₹10 left at the operating level before interest, tax and depreciation. Each of its 228 employees supports ₹1.00 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin10.1%

Net margin5.8%

Revenue / employee₹1.00 Cr

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

MARUTI SUZUKI INDIA LTD.P/E 25.2x · ROE 13.4%

TITAN COMPANY LIMITEDP/E 68.5x · ROE 36.7%

TRENT LTDP/E 87.2x · ROE 25.9%

AVENUE SUPERMARTS LIMITEDP/E 69.9x · ROE 12.7%

What is its competitive advantage?Some evidence

ROCE of 20.6% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

ROCE20.6%

ROE17.2%

Peer median ROE25.9%

What has been driving growth?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +37% while net margin moved -51% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+37%

Margin effect-51%

DalalBaazaar Score

53/ 100

Moderate

Weighted across six categories. Every point is explained below.

• Revenue CAGR of 11.0% is steady
✗ Profit has declined at 12.7% a year
✗ Profit is compounding slower than revenue — margins are being squeezed as the business grows

Quality vs. Valuation

Company Quality

53/ 100

Average

How good the business is, ignoring the share price entirely.

Valuation

67/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

15.2x

3Y Median

14.4x

40 monthly readings · mean 15.1x · range 9.2x–27.2x

Sector Median

69.2x

median of 4 sector peers

🟡Currently trading close to its 3y median of 14.4x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 78% below the peer median of 69.2x.

vs. its own history

Fair

14.4x median over 40 months · +6%

vs. sector peers

Cheap

69.2x median of 4 peers · -78%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

15.2x

P/B

2.52x

EV/EBITDA

10.2x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 4.2% to 10.1% over 3 years.
Return on capital is rising
ROCE has improved from 8.9% to 20.6%.
High return on capital employed
ROCE of 20.6% is the mark of a business that converts capital into profit efficiently.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention4

Debt is rising
Total debt is up 403% over 3 years — worth checking what it funded.
Free cash flow is negative
The business is not currently covering its capital spending from operations.
Return on equity is falling
ROE has dropped from 42.1% to 17.2% — each rupee of shareholder capital earns less than it did.
Receivables growing faster than sales
Receivables are up 119% against revenue growth of 37% — customers are taking longer to pay.

Red Flags

5 items require attention · 4 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 403% over 3 years, from ₹8 Cr to ₹42 Cr.
🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🔴Receivables growing faster than salesFinancial
Receivables up 119% against revenue up 37% — sales are being booked faster than they are collected.
🟡Profit is decliningFinancial
Net profit is down 34% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 20.6% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from 4.2% to 10.1%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Cheaper than its peers
It trades 78% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 119% against revenue up 37%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 42.1% to 17.2%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.
Several serious flags at once
4 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 8% a year✓ 11.0% CAGR
Latest reported year was 79.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 8%✓ 10.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹17 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.8x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 18%✓ 20.6%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 11 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 4 neutral · 1 weak

Market Cap

₹194 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

15.2x

Fair

Fairly valued against the generic band

P/B Ratio

2.52x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹18.78

Profitable

Profitable on a per-share basis

ROE

17.2%

Strong

Strong capital efficiency

ROCE

20.6%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.55x

Low

Conservative leverage

Revenue Growth (YoY)

79.7%

Healthy

Healthy top-line growth

Profit Growth (YoY)

72.6%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹17 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹285.3

Operating Margin

7.4%

Average

Average margins

Net Margin

5.7%

Average

Average bottom-line conversion

Current Ratio

1.46

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.11

Defensive

Steadier than the market

52W Range Position

73%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

281.9 / 287.8

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

47.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹167 Cr	₹172 Cr	₹184 Cr	₹229 Cr	+11.0%
EBITDA	₹7 Cr	₹16 Cr	₹15 Cr	₹23 Cr	+48.7%
EBITDA Margin	4.2%	9.4%	8.1%	10.1%	—
PAT (Net Profit)	₹20 Cr	₹16 Cr	₹7 Cr	₹13 Cr	-12.7%
EPS	₹17.6	₹14.29	₹11.01	₹19.5	+3.5%
ROE	42.1%	28.7%	11.8%	17.2%	—
ROCE	8.9%	20.9%	15.5%	20.6%	—
Total Debt	₹8 Cr	₹13 Cr	₹22 Cr	₹42 Cr	+71.3%
Free Cash Flow	-₹52 Cr	-₹1 Cr	-₹11 Cr	-₹17 Cr	—

🟢 Revenue has grown at 11.0% a year over 3 years.

🟢 EBITDA has grown at 48.7% a year over 3 years.

🟢 EBITDA Margin has risen from 4.2% to 10.1% over 3 years (+5.9 pts).

🔴 PAT (Net Profit) has shrunk at 12.7% a year over 3 years.

🟢 EPS has grown at 3.5% a year over 3 years.

🔴 ROE has fallen from 42.1% to 17.2% over 3 years (-24.9 pts).

🟢 ROCE has risen from 8.9% to 20.6% over 3 years (+11.7 pts).

🔴 Total Debt has grown at 71.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹163 Cr

Total Liabilities

₹86 Cr

Total Debt

₹42 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹3 Cr

Capex

-₹20 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

71.4%

Corporate Actions

Ex-Dividend Date

29 Aug 2011

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

1 positive2 mixed3 general

Jasch Industries completes AGM notice despatch for Aug 21 meeting

scanx.trade, 21 Jul

Jasch Industries Ltd. Lower Circuit Today: Price, Data and Peers

Univest, 25 Sept

Jasch Industries Share Price Gains 1.95% After Q1 Results

Univest, 31 JulPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Jasch Industries Q1 Results: Net profit surges 73% YoY to ₹3.81 crore

scanx.trade, 30 JulResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

JASCH Stock Price and Chart — BSE:JASCH

TradingView, 24 Sept

Jasch Industries Q1 Results FY27: PAT Rs 3 Cr, Revenue Rs 75 Cr

Univest, 31 JulResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

🟡Business QualityAdequate12.4/20

🟡Financial HealthAdequate11/20

🔴GrowthWeak7.7/20

🟡ProfitabilityModerate8.4/15

🟡ValuationFair9.3/15

🔴RiskHigh4.4/10

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 4 high-severity red flags sit above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 8% a year11.0% CAGR
✓EBITDA margin holds above 8%10.1%
✗Free cash flow remains positive-₹17 Cr
✓Debt / EBITDA stays below 2x1.8x
✓ROCE stays above 18%20.6%